The price of tea on the global market has surged to a fifteen year high. Supply and demand factors are both at work as this short streamed presentation shows

There are over 1,500 different types of tea so discussing what is happening to the ‘world price’ has its limitations! But this is an interesting market to explore for AS students covering as it does

Market demand and supply factors The impact of price volatility Do tea producers actually gain from rising market prices Price and income elasticity of demand for tea Fair Trade and tea pricing policies The impact of changing tea prices on demand for and supply of related products *The significance of world tea prices for macroeconomic performance of major tea exporting nations

Once students have the core supply and demand analysis, this is a topic that we can return to later on in the course and also in revision